Cardano's ADA climbed from $0.24 to $0.28 between October 3 and October 5, pushing above its 200-day EMA as open interest jumped 25% to $304 million. Whale transactions worth at least $100,000 also surged, and the combination points to new positioning entering the market rather than a simple short squeeze.
ADA Breaks Above the 200-Day EMA
ADA rose roughly 10% between October 3 and October 5, moving from $0.24 to $0.28 and pushing above its 200-day EMA band, according to Santiment data cited by Coinpedia. The move gives bulls visible momentum they have not had much of lately. If the bullish momentum holds, the move could extend toward $0.40, though the data doesn't guarantee that outcome.
Open Interest and Whale Activity Point to New Money
Over the same period, open interest increased about 25% to $304 million, its highest daily close since at least early April. Measured in coins rather than dollars, open interest still rose roughly 13%, meaning traders were not simply watching existing positions gain value — new positioning was entering the market.
Whale activity also picked up. Transactions worth at least $100,000 reached 413 on October 5, around 2.2 times the weekday average recorded between September 7 and October 2. Social volume, however, stood at roughly 1.1 times that same baseline, so attention increased without turning into a full-blown social frenzy.
Short Covering Alone Doesn't Explain the Rally
Some short covering likely contributed to the rally. Funding reached its most negative reading of the past month on October 2 before flipping positive. But short covering normally reduces open interest, and here open interest increased instead.
Source: Coinpedia Fintech News
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